US president Joe Biden presented his economic plan against inflation ahead of his meeting with Fed chairman Jerome Powell. Biden promised not to influence the Federal Reserve's decision making while tackling rising prices and guiding the economy on the path to stable growth.
On Tuesday, Joe Biden met with Powell at the White House to discuss inflation and the state of the US economy. It was Biden's first meeting with the Fed chair this year.They were joined by US Treasury Secretary Janet Yellen.
In his op-ed published in the Wall Street Journal, Joe Biden said Americans were anxious due to the economic situation. He put the blame for inflation on Vladimir Putin and the war in Ukraine. He also claimed Russia's actions were responsible for the supply chains disruptions that caused shortages and price hikes.
The US president presented a three part plan, involving the Federal Reserve, lowering the cost of everyday goods and reducing the national deficit.
Biden stated that the Federal Reserve has a primary responsibility to control inflation.
He pledged to lower the costs of goods for American families by resolving supply chain disruptions, improving infrastructure and lowering fees of foreign ocean freight companies.
The US president also warned that job creation in the US economy could decrease.
According to the latest data, annual inflation in the US reached 8.3%, down from 8.5% reported in March. However, inflation remains near a 40-year high
The PCE price index, which is the Fed's preferred inflation gauge, increased by 4.3% in April, slowing down compared to March.
